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In spl 3-2 judgment, judicial committee council ruled environmental impact assessment done regulatory authorities in Belize sufficient support construction dam.

For Fortis Inc. St. John's, Nfld., decision means construction on Chalillo Dam on Macal River can steam ahead with project's completion now forecast mid-2005.

"This eighth ninth time has been before courts, each time it's been given green light," said John Evans, chief engineer Fortis vice-president Belize Electric Co. Ltd., subsidiary Canadian company.

Some work on site has already begun, "but with news can ramp up activities move forward," he said.

The dam has been approved local environmental protection agencies, but Belize Association Non-Governmental Organizations (BACONGO) argued plans hydroelectric project are flawed.

BACONGO believes dam's approval granted on plans showed would built on granite, but geological surveys indicate site chosen dam consists sandstone shale, raising questions about its safety.

The company conceded bedrock originally misidentified granite, but says sandstone site can support dam.

In its judgment, Privy Council said accepts geological surveys done dam show can safely built.

"Their lordships . . . not consider geological error EIA (environmental impact assessment) such significance" to overturn decisions made Belize, majority judgment read.

The environmental coalition said will continue campaign against project Belize.

"This setback, but won't stop until get truth about project," said Tony Garel, chairman BACONGO. "This project will unravel when full truth comes out."

Evans said court cases have delayed project more than year.

"While delay construction costs us money, I think more importantly costs people Belize money because they've had buy energy higher price," he added.

Evans said Fortis never considered abandoning project.

"I think were times when were very frustrated, but comes time when you have what you think right people you're serving," he said.

The environmental groups argued $40-million Cdn project would damage surrounding rainforest has been left untouched humans 500 years destroy habitat threatened species, including jaguar, tapir scarlet macaws.

The Privy Council, which serves final court appeal Belize, rejected groups' archeological conservation arguments.

The Belizean government said project fundamental country's economic development. currently gets about half its electricity neighbouring Mexico.

Fortis holding company operates seven electric companies Newfoundland, Prince Edward Island, Ontario, Cayman Islands New York. Its wholly owned subsidiary, Fortis Properties, owns hotels, office buildings malls throughout Atlantic Canada.